A methodology to produce disaggregated estimates of inequality is implemented in three developing countries: Ecuador, Madagascar and Mozambique. These inequality estimates are decomposed into progressively more disaggregated spatial units and the results in all three countries are suggestive that even at a very high level of spatial disaggregation, the contribution to overall inequality of within-community inequality remains very high. The results also indicate there is a considerable amount of variation across communities in all three countries.
The authors also explore some basic correlates of local-level inequality and consitently find that geographic characteristics are strongly correlated with inequality, even after controlling for demographic and economic conditions.